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Airline GuidesDecember 24, 20267 min read

Southwest Cancelled Flight Policy: No Fees But What About Compensation?

Southwest is famous for no change fees and no bag fees. But what about compensation when Southwest cancels your flight? The answer involves both Southwest's voluntary policies and federal DOT requirements.

What 'No Fees' Actually Means

Southwest's no-change-fee policy means you can change or cancel your own flights without a fee. But this is separate from what happens when Southwest cancels your flight. When Southwest cancels, DOT rules require a full cash refund regardless of Southwest's own policies.

Southwest's travel funds are not the same as a cash refund. When Southwest cancels, they often default to issuing travel funds. You have the right to demand cash instead. See our Southwest compensation guide for the full process.

Southwest's Customer Service Commitments

  • Rebooking on the next available Southwest flight at no charge.

  • Meal vouchers for controllable delays of 3+ hours.

  • Hotel accommodation for controllable overnight cancellations.

  • Points restoration for cancellations on Rapid Rewards bookings (plus refund of cash taxes).

For more on Southwest, see our Southwest compensation guide. For the general refund process, see our guide. For DOT rights, see our rights page.

The December 2022 Lesson

Southwest's December 2022 meltdown (over 16,000 cancelled flights) demonstrated that even passenger-friendly airlines can fail catastrophically. The DOT fined Southwest $35 million and required $140 million in refunds. Passengers who filed DOT complaints received refunds that were initially denied.

The lesson: always file a DOT complaint if Southwest denies a valid refund. For the DOT complaint process, see our guide. Check your flight for eligibility.

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